Response Genetics tumbles after Q3 results

|About: Response Genetics, Inc. (RGDX)|By:, SA News Editor

Response Genetics (RGDX -24.1%) plunges after Q3 revenue comes in short of expectations at $4.1M.

Pharmaceutical client revenue — which the company notes is "characteristically inconsistent" — falls 35% Y/Y and 30% sequentially. The company blames "one-time $500K milestone payments received in both Q2 and in Q3 2012."

ResponseDX revenue: -16% Y/Y, -18% Q/Q. Here, the company says the culprit is "accelerated refocusing of sales efforts on larger new potential accounts."

Gross margin: 33% versus 49% in Q3 2012 and 49% in Q2 2013.

CEO Thomas Bologna calls the results "clearly disappointing." (PR)